While searching the internet for modulus, I found the following in relation to a class action lawsuit involving rodmakers Thomas & Thomas as plaintiff. against Hercules manufacturer or former manufacturer of carbon fiber (graphite). Are we paying too much for our fly rods?
In addition, on February 25, 2005, the Company (Hercules)reached a settlement in principle with the plaintiffs in the federal consolidated class action litigation captioned Thomas & Thomas Rodmakers v. Newport Adhesives and Composites (Case No. CV-99-07796-GHK (CTx), U.S. District Court, Central District of California) under which the Company has agreed to pay $11.25 million (approximately $7 million after tax). That lawsuit alleges antitrust violations by suppliers of carbon fiber and carbon fiber prepreg. The settlement is subject to court approval. The Company denies any liability to plaintiffs, but entered into the settlement to avoid the risk, uncertainties and costs inherent in litigation. The settlement will not affect the pendency of the various other related lawsuits which are described in the Company's previously filed Forms 10-K and 10-Q. The Company's former Composite Products Division, which manufactured and sold carbon fiber and carbon fiber prepreg, was sold to Hexcel Corporation in 1996. In December 2004, the Company filed a lawsuit against Hexcel Corporation captioned Hercules Incorporated v. Hexcel Corporation (Index No. 04/604098, Supreme Court of the State of New York, County of New York) seeking indemnification with respect to the Thomas & Thomas Rodmakers lawsuit, as well as with respect to other related lawsuits. The lawsuit against Hexcel Corporation is based on the terms of the purchase and sale agreement by which the Company sold its Composite Products Division to Hexcel Corporation. In response, Hexcel Corporation has denied liability and has filed a counter-claim also seeking indemnification. That lawsuit is entering the early stages of discovery. Neville (Nev) Gosling Greater Vancouver, B.C. Canada
